Career Planning and Development

Jefferson is interested in starting his own business. He plans to borrow money from the local bank in order to finance the business. They will require him to submit a business plan and a(n) _____. a. buy-out plan b. income statement c. partnership agreement d. financial plan

not b, possibly d

Before buying an existing business, you need to identify if the business's problems can be fixed.

True

List the four ways to become a business owner.

1. Start a new business 2. Buy an existing business 3. Buy a franchise 4. Join a family business

A business plan is a document describing the start-up costs and operating expenses of a new business.

False

An entrepreneur's life has few challenges, few risks, and minimal rewards.

False

If you purchase a franchise, you get to keep all of the profits you make.

False

Location is not important for a business.

False

List and describe the three traits needed to become a successful entrepreneur.

Sight & Foresight -Ability to see opportunities that others do not see -Notice needs that are not being met, and make a career out of fulfilling these needs Decision-making -Makes business decisions every day -Must make GOOD decisions using the decision making process Motivation -Self motivation - know what they want and believe in their ability to achieve it -Stay motivated by setting short term and long term goals -Plan on how to achieve their goals

Select two ways of becoming a business owner. Compare the advantages and disadvantages and decide which of the two you would prefer.

Sole proprietorship and corporation. Sole proprietorship appeals to me most because the success is only yours and is much greater than buying into an already successful business. The disadvantage of sole proprietorship is that it may not succeed whilst buying into a corporation is a bigger chance of success.

Define the three main forms of legal ownership of a business. Which one appeals most to you and why?

Sole proprietorship, partnership, and corporation. A partnership appeals to me most because of the added experience that both can share.

Franchises tend to have better success rates that non-franchised businesses.

True

Taking over a family business can help to maintain the goodwill of the customers.

True

There are pros and cons for doing temp work.

True

An arrangement in which local businesses team up with schools, hiring students to perform jobs that use knowledge and skills taught in their school classes is called a _____. a. Vocational Education Program b. Cooperative Program c. Internship d. Service Learning

b. Cooperative Program

_____ is short-term employment that may allow you to develop contacts that may help in finding a permanent job a. Part-time work b. Temp work c. A cooperative program d. Informal work

b. Temp work

A disadvantage to joining a family business is that _____. a. more can be achieved by working in a team b. family relationships may be negatively affected c. one individual must take on all of the financing responsibilities d. there is little trust and loyalty

b. family relationships may be negatively affected

The advantages of being an entrepreneur are _____. a. excitement, independence, and financial risk b. flexibility, independence, and salary potential c. short working hours, independence, and financial risk d. administration, short working hours, and excitement

b. flexibility, independence, and salary potential

The loyalty of customers to a business is called _____, a. satisfaction b. goodwill c. partnership d. sole proprietorship

b. goodwill

In order for a person to recognize needs that are not being met and make a career out of fulfilling unmet needs, that person must have _____. a. interpretation b. sight and foresight c. independence d. decision making skills

b. sight and foresight

Buying an existing business _____. a. is beneficial because an established business always has a good reputation b. is not recommended because there are too many disadvantages c. allows the owner to build upon the goodwill of previous customers d. is a high risk because successful businesses are usually not sold

c. allows the owner to build upon the goodwill of previous customers

Buying a franchise might be a good decision for someone who _____. a. wants to create a new product or service b. doesn't want to work long hours c. doesn't have experience developing management systems d. likes to work alone without many rules and regulations

c. doesn't have experience developing management systems

A legal arrangement where two or more people share ownership of a business is called a ______. a. corporation b. sole proprietorship c. partnership d. franchise

c. partnership

The three traits an entrepreneur must possess to be successful are _____. a. motivation, humility, and decision making b. conflict management, motivation, and decision making c. sight & foresight, decision making, and motivation d. humility, conflict management, and sight & foresight

c. sight & foresight, decision making, and motivation

An existing business can be for sale because _____. a. the owners are retiring b. the owners are entering a new business c. the business is losing money d. all of the above

d. all of the above

A _____ is a document that outlines specific information about your proposed business, including product, location, and marketing information. a. financial plan b. franchise agreement c. partnership contract d. business plan

d. business plan

A business chartered by a state that legally operates as a separate entity from the owner(s) is called _____. a. franchise b. sole proprietorship c. partnership d. corporation

d. corporation

The three legal forms of business ownership are _____. a. sole proprietorship, partnership, and franchise b. sole proprietorship, franchise, and corporation c. partnership, franchise, and corporation d. partnership, sole proprietorship, and corporation

d. partnership, sole proprietorship, and corporation

An entrepreneur's life has few challenges, few risks, and minimal rewards.

false

A proven product, established management systems, and customer goodwill are three advantages of _____. a. joining a family business b. starting a new business c. buying a franchise d. working from home

not a

Buying a franchise might be a good decision for someone who _____. a. wants to create a new product or service b. doesn't want to work long hours c. doesn't have experience developing management systems d. likes to work alone without many rules and regulations

not a or b